Togolese Ceco SA Secures 37.1 Billion Deal to Construct Southern Cameroon Road

Cameroon’s Infrastructure Development: A Road to Progress

In a significant move to bolster its infrastructure, the Cameroonian government has embarked on a substantial project to construct a new road in the southern region of the country. This initiative, with a budget of 37.1 billion, is a testament to the nation’s commitment to enhancing connectivity and fostering economic growth.

The project has garnered attention due to the involvement of the Togolese company Ceco SA, which has been recruited to finance this ambitious undertaking. This collaboration highlights the increasing trend of intra-African cooperation in developmental projects, signalling a shift towards self-reliance and mutual support among African nations.

The new road is expected to play a pivotal role in improving the transportation network within Cameroon, facilitating easier movement of goods and people. It is a strategic investment that aligns with the government’s vision of transforming the country into an emerging economy by 2035. By improving access to remote areas, the road will not only boost trade but also open up opportunities for tourism and local businesses, contributing to the socio-economic development of the region.

The decision to invest in road infrastructure is part of a broader scheme of public works planned for 2023, with the government allocating CFA2 billion for 57 technical studies for roads, freeways, expressways, and engineering works. This comprehensive approach to infrastructure development is indicative of Cameroon’s proactive stance in addressing the challenges of modernization and urbanization.

Moreover, the Ministry of Public Works has set an ambitious budget of close to US$960 million for road works in 2024, a significant increase from the previous year’s budget. This funding will enable maintenance and upgrade works to existing routes, as well as the construction of new roads, thereby expanding the country’s road network.

The strategic road investments are a clear indicator of Cameroon’s dedication to improving its infrastructure, which is crucial for the nation’s economic advancement. With these developments, Cameroon is paving the way for a more connected and prosperous future, demonstrating the power of strategic planning and international collaboration in achieving developmental goals.

The signing of the commercial contract on July 1, 2024, however, does not augur well for the imminent start-up of Ebolowa-Efoulan-Mbango, which would increase the attractiveness of the Autonomous Port of Kribi (PAK).

**Signing of contract between the Cameroonian and Togolese parties**

On July 1, 2024, in Yaoundé, the Cameroonian Minister of Public Works (Mintp) Emmanuel Nganou Djoumessi and the CEO of the Togolese company Ceco SA Constantin Amouzou, signed a Memorandum of Understanding (MoU) for the mobilization of financing in favour of the State of Cameroon as part of the construction of the Ebolowa-Efoulan-Mbango road. Indeed, it is a 60 km road section, located in the South region. The chosen service provider will have to evaluate the cost of the work as well as the financing conditions. But while waiting for the delivery of the feasibility studies of the project, the project owner is counting on a maximum forecast budget of 37.1 billion CFA francs.

Actual start is still a long way off

According to the services of the Ministry of Public Works, it is since February 2, 2023 (more than a year) that the file was submitted for the assessment of the Prime Minister, then validated by the Presidency of the Republic. If we can already rejoice at the start of the asphalting procedure of this road which would increase the attractiveness of the Autonomous Port of Kribi (PAK), it remains all the same that the effective start of the works is not close. The reason, “after the signing of this commercial contract, it is a question of continuing and completing the process of setting up financing for an effective start of the works on the ground within 24 months at the most, from the signing of said commercial contract”, predicts the project owner.

And, “to be honest,” said the CEO of Ceco SA, the first spades on the Ebolowa-Efoulan-Mbango road should rather take place in 33 months. For him, the commercial contract initiated with Cameroon will “make the approach credible” with donors to be able to mobilize resources. “The service provider will be paid within the framework of a public contract at unit prices, which will be awarded following the over-the-counter procedure, as defined by decree n°2018/366 of June 20, 2018, relating to the Public Procurement Code,” said the Mintp.

Ebolowa-Akom 2-Kribi still waiting

Built, the Ebolowa-Efoulan-Mbango (Lolodorf) line should also increase connectivity between surrounding localities as well as better sub-regional integration through the improvement of the transport of goods between border countries in Cameroon, particularly Gabon and Congo. This is next to the already functional Kribi-Lolabé highway and the Olama-Bingambo and Grand Zambi-Kribi sections, the provisional acceptance of which has been pronounced.

In addition to the materialization of the above-mentioned road, there is also the Ebolowa-Akom 2-Kribi line (179 km) whose asphalting has been announced since 2011. The project awarded to the Italian company ICM is still stumbling over environmental standards insisted on by the British donor Ukef. In February 2024, Hussan Musata Sajjad, the executive director of Standard Chartered Bank, reassured that 5% of the project financing estimated at nearly 140 billion CFA francs had been mobilized by the bank for the completion of additional studies. “The process for the implementation of additional environmental studies, with a large part of their upgrading to international standards, has been initiated and it is a question of finalizing these studies to lead to the establishment of financing carried by the remaining 95% to start the work”, reassured the Mintp five months ago.